LiteForex Change in trading conditions during the Christmas and New Year holidays
Newsletter from LiteForex:
LiteForex change in trading conditions during the Christmas and New Year holidays due to the traditionally low trading activity on Forex, the international foreign exchange market.
From December 22, 2008 to January 2, 2009 spread sizes for all financial instruments, included in the quoting list, will be increased threefold compared to their usual values, stated in Contracts Specification. Stop & limit sizes will be increased fivefold compared to their usual values. Margin requirements for all Forex trading instruments will be increased twice and for XAGUSD, USDMXN, USDZAR, USDRUR, EURRUR, GBPRUR – four times. For CFD instruments margin requirements will remain the same.
On January 5, 2009 margin requirements for all Forex instruments, except XAUUSD, XAGUSD, USDCZK, USDHUF, USDMXN, USDPLN, USDSGD, USDZAR, USDRUR, EURRUR, GBPRUR, will get back to their usual values and margin requirements for all CFD instruments will be decreased twice.
Traditionally, major banks increase spread values before the New Year’s holidays, to prevent the possibility of making profit off “noise”. So, because of the magnificently increased volatility, the company reserves the right to increase spread sizes for certain currency pairs, for a specific period of time and amount, which will prevent sniping-related abuse in trading strategies. “Sniping” means trading, based on profits acquired due to quotation malfunction. Spreads will immediately go back to their regular values once spikes stop.
Please take certain measures in advance, so these temporal changes do not affect your trading results.
LiteForex Group of Companies wishes you a Merry Christmas and a Happy New Year.
